Please answer the following:

Selected ledger account balances for Business Solutions follow.
For Three Months Ended December 31, 2017 For Three Months Ended March 31, 2018
Office equipment $8,000 $8,000
Accumulated depreciation—Office equipment 400 800
Computer equipment 20,000 20,000
Accumulated depreciation—Computer equipment 1,250 2,500
Total revenue 31,284 44,000
Total assets 83,460 120,268
Required

Assume that Business Solutions does not acquire additional office equipment or computer equipment in 2018. Compute amounts for the year ended December 31, 2018, for Depreciation expense—Office equipment and for Depreciation expense—Computer equipment (assume use of the straight-line method).

The difference between accumulated depreciation represents the depreciation charge that was made during the first quarter of the 2018 accounting year.

Then depreciation charges for the first quarter are calculated as follows:

Depreciation expense Office equipment = 800 – 400 = 400

Depreciation expense Computer equipment = 2,500 – 1,250 = 1,250

Since there are 4 quarters in an accounting year, the depreciation charge in 2018 is calculated as follows:

Depreciation expense Office equipment = 400 * 4 = 1,200

Depreciation expense Computer equipment = 1,250 * 4 = 5,000